T.N. PARAMESH Vs. KRISHNA BHAGYA JALA NIGAM LTD.

JUDGEMENT

(1.) PETITIONER has sought for quashing the Endorsement/letter dated 2.1.2014 issued by the 2nd respondent vide Annexure -H under which the 2nd respondent has intimated the petitioner that the 3rd respondent has claimed against the petitioner the amount of Rs. 353.00 lakhs and that such amount should be with held from out of the amount to be paid to the petitioner by the 1st respondent - Corporation.

(2.) THE records reveal that the petitioner is entrusted with the contract of providing sprinkler irrigation to the SC/ST beneficiaries in respect of Sy. No. 531 of Nidagundi village, Basavana Bagewadi taluk and Sy. Nos. 203, 211 and 214 of Muddapur village, Basavana Bagewadi taluk. The work orders were issued as per Annexures -A and B to the petitioner. Two separate agreements were entered into between the parties as per Annexures C and D. The petitioner said to have discharged the work entrusted to him of the 1st respondent company by providing sprinkler irrigation system to the aforementioned survey number. Consequently, the 1st respondent owes certain amounts to the petitioner in the form of periodical payments in terms of the contract between the parties. Since such amounts were not paid by the 1st respondent to the petitioner, the petitioner made representation for the same. However the petitioner is served with Annexure -H dated 2.1.2014 stating that an amount of Rs. 353.00 lakhs will have to be recovered from the petitioner since the petitioner is due a sum of Rs. 353.00 lakhs to the 3rd respondent. Undisputedly the petitioner was having contract with the 3rd respondent whereunder certain works were entrusted to the petitioner at K.R. Sagar Dam. According to the 3rd respondent, the petitioner is due a sum of Rs. 353.00 lakhs to the 3rd respondent under the said contract. Hence the 3rd respondent has laid claim against the petitioner in respect of such amounts, by intimating the 1st respondent to withhold payment towards recovery of Rs. 353.00 lakhs from the petitioner.

(3.) IN this connection, it is relevant to note Clause 36 of the contract entered into between the petitioner and the 1st respondent, which reads thus: